Ringgit ends lower against us dollar at close

KUALA LUMPUR: The ringgit closed at its lowest level against the US dollar since 1998 today, in tandem with other emerging market currencies due to external factors, a dealer said.
At 6pm, the ringgit was quoted at 4.4780/4810 against the greenback from 4.4765/4795 on Monday.
The local note hit a historical low of 4.71 against the US dollar in January 1998.
Inter-Pacific Securities Sdn Bhd Head of Research Pong Teng Siew said the recent US Federal Reserve's (Fed) interest rate hike announcement and President-elect Donald Trump's new policies on infrastructure spending and tax cuts, made an impact on emerging Asian currencies, among which the ringgit was hardest hit.
"The ringgit is worst affected because it is the favourite among currency players due to its liquidity," he told Bernama.
Besides, Pong said the Fed's rate hike, coupled with Trump's new policies' expectations, would enable investors who played on the interest rate differential to receive higher yields in the US market.
"The continued global investors outflows from emerging markets into the US also led to the ringgit to depreciate further," he said.
However, Pong believes the local note would not fell lower than the 4.4780-level against the greenback as this level is deemed "good enough" for the local exporters.
"It is a strong level for the exporters to take profit from converting the US dollar to the ringgit," he said.
The local unit however was traded mixed to higher against other major currencies.
Vis-a-vis the Singapore dollar, the ringgit shed to 3.0928/0970 from 3.0892/0927 on Monday, but rose against the yen to 3.7920/7962 from 3.8091/8127.
Against the British pound, the local currency appreciated to 5.5447/5502 from 5.5773/5819 yesterday while against the euro, it improved to 4.6495/6531 from 4.6762/6811 previously. — Bernama